Houlihan Lokey Advises Coastal Waste & Recycling

Houlihan Lokey is pleased to announce the sale of Coastal Waste & Recycling (Coastal) to Macquarie Asset Management (MAM). Coastal is one of the largest independent vertically integrated solid waste and recycling businesses in the Southeast and a portfolio company of Summer Street Capital Partners (Summer Street) and Concentric Equity Partners (Concentric). The transaction closed on June 13, 2023.

Headquartered in Boca Raton, Florida, Coastal is a privately owned solid waste and recycling company with 19 locations in Florida and Georgia. Coastal’s team provides residential, commercial, industrial, and municipal services to customers in the regions it serves. Its locations provide comprehensive solid waste services, including collection operations, transfer stations, portable restroom services, and recycling and disposal facilities. With a commitment to a culture focused on its core values and a vision of growth, both personally and professionally, Coastal has more than 800 employees providing over one million services each month.

Since its formation in 2017, thanks to a partnership between Brendon Pantano (Coastal’s Chief Executive Officer), Summer Street, and Concentric, Coastal has grown to be one of the largest solid waste and recycling businesses, serving more than 450,000 customers, with a fleet of nearly 600 vehicles at 11 collection depots and eight post-collection facilities.

Summer Street, founded in 1999, is a Buffalo, New York-based private equity fund manager with committed capital focused on investing in small and middle-market companies in environmental services and manufacturing. The firm is a leading investor in the environmental services sector, with nearly 20 years of experience acquiring and building companies in waste collection, transportation, and disposal across the eastern United States. Summer Street’s investments support management buyouts, family transitions, corporate divestitures, growth financings, and recapitalizations.

Concentric is a private investment firm that partners with leading middle-market companies by providing capital and strategic advisory to accelerate long-term value creation. Concentric’s approach is simple: support entrepreneurs and operators by providing the resources required to achieve extraordinary results. The firm’s investment team is made up of individuals with distinguished track records as operators and professional investors across a variety of growth-oriented middle-market companies. Concentric is the direct investing arm of Financial Investments Corporation, a private asset management firm and family office with more than $2 billion in investment commitments under management. Financial Investments Corporation was founded in 1994 by father and daughter Harrison and Jennifer Steans and has partnered with private companies for more than 25 years.

MAM is a global asset manager and the world’s largest infrastructure manager. Trusted by institutions, pension funds, governments, and individuals to manage approximately $582 billion in assets globally, MAM provides access to specialist investment expertise across a range of capabilities, including infrastructure, green investments and renewables, real estate, agriculture and natural assets, asset finance, private credit, equities, fixed income, and multi-asset solutions. MAM is part of Macquarie Group, a diversified financial group providing clients with asset management, finance, banking, advisory, and risk and capital solutions across debt, equity, and commodities. Founded in 1969, Macquarie Group employs more than 20,500 people in 34 markets and is listed on the Australian Securities Exchange.

Houlihan Lokey served as the lead financial advisor and assisted in marketing, structuring, and negotiating the transaction on behalf of Coastal, Summer Street, and Concentric.

This transaction highlights Houlihan Lokey’s leading position and continued success advising clients in the environmental services sector and, more specifically, the firm’s leading market share in advising on solid waste transactions. Other marquee solid waste transactions over the past 18 months include the successful sales of Rogue Waste to Waste Connections, Lone Star Disposal to Waste Connections, Solterra Recycling to Interstate Waste Services, and GreenWaste Recovery to Macquarie.